A customs broker decides to start a small business offering only the service of preparing and submitting customs warrants. She charges customers a flat fee of $50. She rents a small office which creates monthly fixed costs of $2,500 (administrative staff, premises, utilities, etc.). The only variable cost is $30 she pays her staff for each warrant. *Hint use x as the number of warrants produced.

a) What is the revenue function for the business?

b) What is the cost function for the service?

c) Calculate how many warrants need to be prepared in order for the business to break even.

d) If in her first month, she prepares and receives payment for preparation of 200 warrants:

i. Calculate the revenue

ii. Calculate the cost

iii. Calculate the profit